Market time horizon is longer than a few weeks; market already pricing a positive negotiation end. AI stocks driving market up, while sectors linked to conflict/energy under pressure. Repricing also due to earnings season.

Haven't seen impact of rising energy prices in economy yet; strong data from China, UK, US. Impact takes time on consumption and earnings. Big impact on economy/inflation requires energy price rise for extended period (>6 months). If energy prices stay at current level for few weeks, impact remains contained; market can continue to run positive.

Good opportunity to re-enter market. Market pricing too many rate hikes for ECB and BoE. ECB will pause, watch inflation data. Market expects 2.5 hikes by year-end; UBS expects no move until 2026/2027. Opportunities in short-term curve (3-6 year duration). Bond yield move is great opportunity for investors not exposed to fixed income.

Thinking is BoE will cut rates later this year; market repricing too many hikes. Gilts moved most in yield change. Still upside pressure on inflation; BoE clear cuts not coming soon, but level of rates still very high. Haven't seen disruption from higher energy prices yet; financial conditions have tightened (bond yields up, credit spreads widening). Too early to think no disruption in coming weeks/months.

Biggest opportunities across world, more exposed to US and China. Exposure today is more specific/selective - not buying overall indices/sectors. Looking for companies that will see monetization of current investment. Prefer companies investing using cash rather than issuing bonds. Semiconductors still very present in allocation.